During the greater part of the decade 1920–1930 the levels of agricultural prices and of farm income have been matters of national concern. This concern has been heightened during recent months by new drops in the prices of leading agricultural commodities, to or below their pre-war levels, and by the added hardships in certain areas following upon the summer's drought.

The Department of Agriculture reported on December 17 that the value of crops produced in the United States in 1930 will show a decline of 27.7 per cent from 1929. The 1929 valuation was $8,675,420,000; the 1930 figure will be in the neighborhood of $6,274,824,000, “In round figures,” the report said, “crop production in 1930 was only 95 per cent as large as it was last year and on December 1 the portion being sold was moving at prices averaging only 76 per cent of those secured a year ago.” Prices of livestock and livestock products were reported on the same date as being 18 per cent lower than in 1929. Dairy and poultry products, fruits and vegetables have shown corresponding declines in price, with the result that farm income for the year is likely to average 20 per cent below that of 1929.

Seed and Feed Loans for Drought-Stricken Areas

President Hoover drew attention to the fall of agricultural prices in his annual message to Congress of December 2. His comparisons were made with prices prevailing in 1928 and showed a less unfavorable picture than the later reports of the Department of Agriculture. He said: